APPLICATIONS

Cray reported that it has received a letter from the Nasdaq Listing Qualifications Department indicating that, effective with the open of business on June 3, 2005, the Company will trade under its original trading symbol "CRAY." Cray had previously received a notice from Nasdaq regarding a potential delisting of Cray securities due to non-compliance with Nasdaq Marketplace Rule 4310(c)(14). Specifically, Nasdaq cited delinquencies related to Company's Form 10-K/A, filed on May 3, 2005. Upon further review, the Nasdaq Listing Qualifications Department reversed its earlier decision, and determined that Cray complied with all requirements necessary for continued listing on the Nasdaq National Market. The hearing with respect to the delisting procedure has been canceled as being moot. Cray also announced that it had entered into a new two-year $30,000,000 credit agreement with Wells Fargo Foothill, part of Wells Fargo & Company (NYSE:WFC). The new line replaces the Company's previous line of credit with Wells Fargo Bank, and provides support for the Company's existing letters of credit while permitting the Company use of its previously restricted $11.4 million of cash and permitting additional cash advances. "This line of credit provides us the working capital flexibility we said we would be looking for," said James Rottsolk, Chairman and Chief Executive Officer. "We expect that our cash flow situation will improve in the second half of the year, and this line allows us to manage our resources until that occurs."